Liao: A Fresh Eye To Speed Innovation
New CEO Brings Consumer-Electronics Know-How To CableLabs

by George Winslow
Multichannel News

11/9/2009 2:00:00 AM

http://www.multichannel.com/article/383318-Liao_A_Fresh_Eye_To_Speed_Innovation.php


At just five months into his new job as president and CEO of CableLabs, 
Paul Liao isn't hesitant to say that both the cable industry and its 
technology consortium stand on the cusp of a new era.

“If you look back to when Dick Green became the founding [CEO] of 
CableLabs in [in 1988], there was no data business, no voice and no 
digital television — we had analog cable,” said Liao, who was tapped to 
replace the retiring Green in June. “Today, those three things are a 
reality — in a large part because of the contribution of Dick and 
CableLabs.”

But there's little time for CableLabs to rest on its laurels, given the 
rapid pace of technological change and the increased competition cable 
faces from satellite, Internet-protocol TV and wireless platforms.

“The long-forecasted convergence of voice, video and data is rapidly 
coming upon us,” Liao said. “Cable is blessed with an infrastructure 
that can easily evolve [to capitalize on those changes] and one of the 
important missions of CableLabs is to help the industry evolve their 
networks to revolutionize the consumer experience.”

In a lengthy interview on CableLabs' future, Liao stressed the 
importance of the consortium's ongoing work to create standards, certify 
new equipment and further develop such technologies as DOCSIS 3.0, 
PacketCable, Tru2way and Enhanced TV Binary Interchange Format, or EBIF, 
which will be important for both interactive-TV and advanced advertising 
platforms.

But he also highlighted a number of newer priorities, such as CableLabs' 
efforts to work closer with companies from the consumer electronics side 
to speed up the process of innovation and the development of newer 
technologies for commercial services, converged technologies and all-IP 
networks.

Developing closer ties with international operators and continuing to 
work closely with smaller operators are also important parts of 
CableLabs' mission, Liao said.

In the highly competitive technology world, the group's budget of more 
than $50 million and 160-member staff are dwarfed by the money spent on 
research and development by some major technology and IT firms. 
Microsoft, for instance, spent $8.1 billion on research and development 
in 2008, while IBM laid out $6.3 billion and Intel spent $5.7 billion, 
according to a late October 2009 study from Booz & Co.

But the cable industry remains extremely committed to funding CableLabs, 
said Liao — and that funding extends far beyond the dues its members pay.

“One of the things that really impressed me when I was interviewing for 
this position was the strong level of support from the cable companies 
and the CEOs,” Liao noted. “The level of support for our funding is not 
only extremely stable; Comcast, Time Warner Cable, Cox and the other 
MSOs also have very substantial and extremely talented engineering 
staffs that we can draw on to continue to do some remarkable things.”

To continue the group's tradition of innovation, a number of executives 
are also counting on Liao to bring a fresh perspective to the industry.

In an e-mail, Comcast chairman and CEO Brian Roberts — the current 
chairman of CableLabs — noted that Liao joined the group with 
consumer-electronics experience from his days at Panasonic, where he 
headed up the company's research and technology efforts in North 
America, as well as during his tenure at Bell Communications Research 
(Bellcore) and Bell Labs.

“As our services become more integrated and connect to more devices, the 
unique perspective Paul brings from his CE [consumer-electronics] 
business leadership and R&D experience will clearly benefit CableLabs, 
its members — and, ultimately, consumers,” Roberts said.

Liao, himself, hopes to draw on that background to help speed 
innovation. “One of the things I'd like to bring to the cable industry 
is the [faster] pace of innovation that you see in the consumer 
electronics realm,” Liao said.

This closer collaboration will be particularly important for the 
industry that now faces both rapid technological changes and increased 
competition from companies delivering content over broadband or wireless 
platforms.

“This is a very critical time for us,” said Comcast executive vice 
president and chief technology officer Tony Werner. “CableLabs will 
probably be more critical to the industry in the next five years than it 
has ever been, because the rate of innovation and technological change 
in the next five years could eclipse what we saw in the last 20 years.”

So far, Werner and other CTOs give Liao high marks for tackling the 
tough issues facing the industry.

“Paul has done a terrific job of coming in with fresh eyes,” said Scott 
Hatfield, executive vice president and chief technology officer at Cox 
Communications. “There are a certain amount of things that he needs to 
continue [like DOCSIS and Tru2way], but he has also done a terrific job 
of trying to figure what might have been missing and what are some of 
the new areas that we need to focus on.”

One key issue is the move to all IP networks, Liao and several CTOs told 
Multichannel News. “Today, our services are segmented, with video going 
down one transport scheme and data another,” said Time Warner Cable's 
executive vice president and chief technology officer Mike LaJoie. “But 
I think more and more of our product will be made available over IP 
networks.”

This transition to an IP network is relatively challenging but 
“achievable,” LaJoie added.

“The big benefit is that it broadens out the universe of devices that 
can connect to our network and be authorized to consume our products,” 
he said, making it possible for operators to better serve their 
subscribers by allowing them to access content on a variety of devices.

This move to an IP infrastructure that is more heavily based on software 
could also help further standardize the cable infrastructure and allow 
it to more quickly deploy new services.

“One of the challenges of the cable industry is that it is by no means 
homogenous,” in terms of its technology and the interoperability of 
devices, Liao said. “If you go to all-IP, which is a direction we are 
examining quite closely at CableLabs, we get the advantages of scale 
that the Internet and the IT industry has, as well as the wealth of 
tools that IP provides.”

Some of the newer initiatives, such as the focus on developing 
technologies for commercial services, could also quickly produce some 
newer revenues, several CTOs agree.

“Providing commercial services to small and medium-sized business we see 
as a high growth area for the industry,” said Marwan Fawaz, as executive 
vice president and chief technology officer at Charter Communications. 
“We're glad to see that CableLabs is getting more engaged in helping us 
drive that through open standards,” and other technological developments.

These efforts are particularly important for many of the smaller 
operators, whose needs remain an important part of the organization's 
efforts, Liao stressed.

“I don't know where we would be without the standards that have been 
driven by CableLabs,” said Pragash Pillai, vice president of engineering 
and technology at Bresnan Communications. “For us smaller operators who 
don't have a big R&D budget, we rely on CableLabs to prove and test new 
technologies.”

“Dick Green worked very hard to make sure the smaller operators had a 
place at the table in terms of their ideas and priorities and Paul 
[Liao] is working to continue that,” added Bend Broadband chairman and 
CEO Amy Tykeson, a member of CableLabs' board. “The smaller operators 
are in a unique position because they can move relatively quickly in 
terms of technology. Without standards, though, they run the risk of 
moving early on down a path that might not be chosen by the industry. 
CableLabs has been very important for us in terms of its technical 
expertise and in the standards it's developed.”

-- 
================================
George Antunes, Political Science Dept
University of Houston; Houston, TX 77204 
Voice: 713-743-3923  Fax: 713-743-3927
Mail: antunes at uh dot edu

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